The Wealth, Brokerage and Retirement (WBR) division of Wells Fargo has posted a net income of $602m for the second quarter of 2015, up 11% compared to $544m in the year ago quarter.
For the quarter ended 30 June 2015, the division posted revenue of $3.73bn, a rise of 5.3% from $3.55bn a year ago.
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Client assets at the wealth management unit were $224bn, a 2% increase compared to the year ago.
The division’s noninterest expense for the first quarter stood at $2.77bn, up nearly 3% from $2.69bn a year ago primarily due to increased litigation accruals and higher broker commissions, partially offset by lower deferred compensation plan expense.
The provision for credit losses increased $15m from second quarter of 2014.
Overall, the US banking giant posted $5.72bn in profit for second quarter 2015, down slightly from $5.73 billion in the corresponding period of 2014.
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By GlobalDataWells Fargo chairman and CEO John Stumpf said: "Wells Fargo’s second quarter results reflected continued strength in the fundamental drivers of long term growth. Compared with a year ago, we grew loans, deposits and capital, and our balance sheet remained strong.
"As the economic and interest rate environments evolved, our diversified business model continued to generate strong results for shareholders, and we were pleased to increase our common stock dividend 7 percent in the second quarter, to $0.375 per share. Wells Fargo is well positioned for the future and I remain confident in the ability of our 266,000 team members to help our customers succeed financially and to serve our communities."
Wells Fargo chief financial officer John Shrewsberry said: "Compared with the first quarter, revenue increased on net interest income growth and expenses declined. Our balance sheet remained strong, as evidenced by solid asset quality, liquidity and capital, and we were within our targeted ranges for ROA, ROE and efficiency."
